Mumbai: 2.48% hike in water tax, citizens see red

As part of its annual hike, the Brihanmumbai Municipal Corporation (BMC) has revised water tax for domestic and commercial consumers in the city with effect from June 16. Mumbaikars would now have to pay 2.48% more than the existing rates. The civic body has increased water charges for domestic consumers from Rs 5.09 to Rs. 5.22 per 1000 litres of water.

Rates have also been increased for sewerage. Sewerage rates will be charged at 70% of total water charges.

According to a 2012 resolution by the BMC, the BMC can increase the water tax annually while keeping the hike rate below 8%.

According to civic officials, the water charges have been hiked due to increase in establishment cost, administrative cost and energy charges during the last year. As of now, domestic users are paying Rs 5.09 per
100 litres which will jump to Rs 5.22.

For users in slums, water charges will increase from Rs 3.82 to Rs 3.91 per 1000 litres. Commercial users have to pay Rs 39.20 per 1000 litres instead of Rs 38.25. With the revised rates, the BMC expects to earn Rs 35.33 crore more in the next 12 months.

The sewerage rates are also charged at 70% on total water charges. The charges increases as per the hike in water tax.

However, the Congress have opposed the water charges hike. "Mumbaikars are facing 10 per cent water cut from the last six months. There isn't sufficient water stock in the lakes. Still, the civic body wants to increase a tax. We are against it," said Congress corporator Ravi Raja, who is the Leader of Opposition in the BMC.

Former commissioner Subodh Kumar, in the year 2012-13 had proposed to hike the water tariff every year by eight per cent for a period of four years to raise money for new water projects. Accordingly, the hike is implemented from June 16 every year.

The first hike on water charges was introduced in 2012, when the rates were hiked from Rs 3.50 to Rs 4 for domestic users, followed by another 8% hike in June 2013 and the next 8% in 2015. The next 5.39% hike was announced in 2017 and 3.72% hike in 2018.

The BMC did not increase water charges in 2014, 2016 and 2017 as these years witnessed Lok Sabha, Vidhan Sabha and civic elections.